Are you thinking about house hunting? Wondering when you should start shopping for that loan?
You definitely want to get that loan letter first. The truth is, a lot of agents won’t even show homes to clients who don’t have preapproval.
The market has slowed down a bit from a year ago, but homes are still selling quickly. You need to be ready to act when you see that perfect home, and you don’t want to be waiting on the bank to approve you for a loan after you’ve walked into that dream home’s foyer!
I also suggest trying to get approved for the highest amount you can. You don’t have to borrow that full amount — preapproval is just the bank saying that you are good to go for UP TO that full amount. It gives you a lot more wiggle room as you look and negotiate with sellers.